Life insurance is one of the fastest-growing industries in the UK. In 2022 alone, the life insurance industry grew by a whopping 36%. With hundreds of established life insurance companies and hundreds more on the way, choosing the right life insurance provider in the UK needs some research.
Luckily for you, we did that research. Here are the 11 best life insurance companies in the UK for you to choose from. The list has been created after comparing and considering hundreds of policies from many insurance providers. Factors like the claim settlement record, policy exclusions, future scope, etc., have been considered while creating the list.
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Top Life Insurance Companies in the UK
Based on a compare-and-contrast study, the following are the best life insurance companies in the UK:
- Legal and General
- Aviva
- LV=
- Royal London
- VitalityLife
- Zurich
- AIG
- Scottish Widows
- Aegon
- Nationwide
- Sunlife
UK Life Insurance Company Reviews
Our experts have gone through the policy details of each provider and prepared detailed reviews of them. The reviews primarily consist of the various policies that they have to offer. Customer satisfaction and payout rates were also considered while reviewing each provider. Still, it is advisable to consider your personal income and related details before choosing any of the following providers.
Legal and General
Legal and General has 180 years of experience in the UK life insurance industry. They are known for their customer service and affordable premium rates.
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Following are the top insurance plans they offer.
1. Level Term Life Insurance
- Aged 18 to 77
- The policy term is 1 to 50 years.
- The policy has to end before the subscriber reaches 90 years.
- The cover amount is the same throughout
- Guaranteed premiums
- No extra cost to cover terminal illness
- Critical illness coverage is available for an extra cost
2. Decreasing Term Life Insurance
- Aged 18 to 74
- The cover amount will be reduced gradually.
- The policy term is 5 to 50 years.
- The policy should end before the subscriber reaches 90 years.
- Guaranteed premiums
- No extra cost for terminal illness coverage
- Critical illness coverage is available for an extra cost.
3. Whole of Life Insurance
- Aged 18 to 84
- Payout remains the same throughout.
- Assured sum of up to £5 Million.
- Life-long coverage
- Terminal illnesses are not included in the cover.
- Can not add critical illness coverage.
- It can only be purchased through a financial advisor.
4. Over 50s Life Insurance
- Aged 50 to 80 years.
- Premiums start from £5.
- Medical information is not required.
- Assured sum up to £10,000.
- Life-long coverage.
- No premiums after 90 years.
- A 12-month waiting period.
Aviva
Aviva, the largest insurer in the UK, has an impressive 99.4% payout percentage for their life insurance. Their policies are competitively priced.
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The significant policies at Aviva are detailed below.
1. Level Term Life Insurance
- The policy term is 1 to 50 years.
- Aged 77 to 90 years.
- Assured fixed sum
- Free terminal illness coverage
- Joint policy options are available.
2. Decreasing Term Life Insurance
- Aged 77 to 90 years.
- Policy term between 1 to 50 years.
- Assured decreasing sum
- Free terminal illness coverage
- Joint policy options available
- Mortgage repayment supported
3. Increasing Term Life Insurance
- Aged 77 to 90
- The policy term is between 1 to 50 years.
- Assured increasing sum
- Free terminal illness coverage
- The cover amount is inflation-proof
- Joint policy options available
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4. Over 50s Life Insurance
- Aged 50 to 80 years.
- Fixed cash payout at the time of death.
- Medical information is not required.
- Assured sum up to £25,000.
- Funeral costs coverage is available.
5. Joint Life Insurance
- Covers two lives at the same time.
- Pays out on the event of first death.
- One premium payment per month.
- It costs 40% less than taking two separate policies.
6. Critical Illness Cover
- Aged 18 to 64 years.
- The policy term is between 5 to 50 years.
- Covers 35 medical conditions.
- Covers up to £1 million
- Can include children’s benefits at no extra cost
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LV=
Liverpool Victoria, or LV=, has 175 years of UK life insurance industry expertise. They earn the top positions in most reviews.
The most popular life insurance plans of LV= are as follows.
1. Level Term Life Insurance
- Aged 18 to 84 years
- The term of the policy is between 5 to 50 years.
- The cover should end before the subscriber is 89
- Payout is a fixed lump sum.
- Joint options are available.
- No extra cost for terminal illness coverage
- Critical illness coverage is available for an extra cost
2. Decreasing Term Life Insurance
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- Aged 18 to 84 years
- The term of the policy is between 5 and 50 years.
- The cover should end before the subscriber turns 89
- Suitable for mortgage repayment
- Lump sum payout, which will be reduced gradually
- Joint policy options are available
3. Critical Illness Cover Life Insurance
- Aged 18 to 64 years
- The term of the policy is between 5 to 50 years.
- The cover should end before the age of 80
- Covers 38 medical conditions
- Decreasing and level-term options are available.
4. Family Benefit Life Insurance
- Supports regular income payments
- Aged 18 to 84 years
- The term of the policy is between 5 to 50 years.
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- The cover should end before the age of 90 years.
- Joint policy options are available.
- No extra cost for terminal illness cover
Royal London
Royal London has been the largest mutual insurer in the UK since 1862. Here are the best life insurance policies from Royal London
1. Direct Term Life Insurance
- Aged 18 to 70 years.
- The term should end before the subscriber turns 80
- Medical information is not required.
- Payout amount up to £750,000
- Decrease and level term options available
- Serious illness coverage is available for an additional cost.
- Terminal illness coverage included
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2. Advised Term Life Insurance
- Should be UK residents
- Aged 18 to 89 years
- Level, increasing, and decreasing term options available
- Unlimited payout
- Medical information may be required.
- Terminal illness coverage is free.
- Should end before 89 years
3. Diabetes Life Cover
- Aged 18 to 88 years
- Only available to UK residents
- Recent HbA1c test results are needed.
- Medical information may be needed.
- Monthly premiums reduce with an improvement in the medical condition.
- Terminal illness coverage is available for free.
4. Whole of Life Insurance
- Aged 18 to 90 years
- Unlimited payout
- Increasing or level options are available.
- Medical information may be required.
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- Helping Hand service can be accessed.
VitalityLife
VitalityLife was established in 2007. VitalityLife’s life insurance policies are famous for their proactive approach.
Here are the best life insurance policies from VitalityLife
1. Term Life Insurance
- The level decreased, and indexed term options are available
- Provides a lump sum amount rather than monthly payment
- Suitable for mortgage repayment
- Decreasing term policies are relatively less expensive than the rest of the term policies.
2. Whole of Life Insurances
- No maximum age for expiration
- Level, decreasing, and indexed options are available.
- Ideal for people over 50 years of age
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- You can add a critical illness policy cover for an extra amount.
- Can add income protection cover for an extra amount
Zurich
Zurich UK provides life insurance policies exclusively to UK residents. They are famous for their high payout rates, affordable premiums, etc.
Here are the best life insurance policies available in Zurich.
1. Term-based Life Insurance
- Level and decreasing term-based options are available.
- Suitable for mortgage repayment
- For the level term, the payout remains fixed.
- For decreasing terms, the payout may gradually decrease
2. Whole of Life Insurance
- There is no upper age limit for a claim
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- Joint policy options are available.
- A joint whole-of-life insurance costs 25% less than two separate policies
3. Joint Life Insurance
- Covers two people at the same time
- Costs 25% less than taking two separate policies
- Provides payout when the first death occurs
- Can split the policy into two if separation of any sort happens
4. Critical Illness Cover Insurance
- Covers 40 medical conditions
- This can extend to the subscriber's children.
- Provides payout if diagnosed with a critical illness during the policy term
AIG
AIG stands for American International Group. AIG Life UK has a solid six decades of experience in life insurance.
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The following are the most popular life insurance policies from AIG.
1. Term Life Insurance
- Aged 17 to 86 years
- The term of the policy is between 2 to 70 years.
- The policy should end before the subscriber turns 90 years old.
- Level, decreasing, and increasing sum options are available
2. Whole of Life Insurance
- Life-long protection
- Suitable for mortgage repayment
- Aged 17 to 84 years
- Level and increasing term options are available
3. Over 50s Insurance
- Aged 50 to 85 years
- The maximum age for smokers is set as 81
- Medical information is not required.
- Early death cover
- Cover up to £15,000
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4. Critical Illness Insurance
- Covers cancer, stroke, and heart attack
- Aged 17 to 75 years
- The term of the policy is between 3 to 50 years.
- Provides payout two weeks post-diagnosis
- Decreasing and increasing sum options available
Scottish Widows
Scottish Widows have been the UK's top life insurance provider for over 200 years. Currently, the Lloyds Banking Group owns Scottish Widows.
Here are some popular life insurance plans from Scottish Widows
1. Term Life Insurance
- Aged 18 to 79
- The policy should end before the subscriber turns 90
- Level, decreasing, and increasing term options available
- Minimum assured sum is £10,000.
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- Fixed premiums
- Monthly payment or lump sum payout options are available.
- The minimum term is one year.
2. Critical Illness Insurance Cover
- Covers 30 critical illnesses
- Level, decreasing, and increasing term options available
- £10,000 to £3,000,000 assured sum
- Fixed premium guarantee
- Aged 18 to 64
- Five years of minimum term
Aegon
Established in 1831, Aegon is one of the biggest life insurance providers in the UK. Aegon has an impressive 3.8-million-member community now.
Some of the popular life insurance policies at Aegon are as follows.
1. Term Life Insurance
- Level and decreasing term options are available.
- The term of the policy is between 1 to 50 years.
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- Joint policy options are available.
- Provides terminal illness cover for no extra cost
- Critical illness coverage is available at an extra cost
2. Family Income Benefit
- The term of the policy is between 5 and 50 years
- Payouts as monthly payments
- There is no extra cost to add terminal illness cover
3. Critical Illness Cover
- Covers 39 critical illnesses
- The term of the policy is between 5 to 50 years.
- Level, reducing, and family income benefit options are available.
- It can be extended to the subscriber's children.
- Not a standalone policy
Nationwide
Nationwide partners with Legal and General to provide life insurance policies to the UK community. Currently, they have nearly 16 Million members.
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Here are some of the bestselling life insurance policies at Nationwide.
1. Level Cover Life Insurance
- Aged 18 to 77 years
- Fixed lump sum
- Suitable for interest-only mortgages
- Covers rent payments, outstanding debts, etc., if the subscriber dies during the term of the policy
2. Decreasing Cover Life Insurance
- Aged between 18 and 74 years
- The lump sum is reduced over the term of the policy.
- Suitable for mortgage repayment
- The level of cover also reduces over time.
3. Critical Illness Cover Policy
- Add on policy
- Aged 18 to 67 years
- Should pay extra cost for the critical illness cover policy
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- Covers a good range of critical illnesses
- Pays a fixed lumpsum post-diagnosis
- Suitable for rent or mortgage payment
- Can cover everyday expenses and bills
Sunlife
With about 200 years of experience in the UK insurance industry, Sunlife offers some of the best policies in the UK. Sunlife was the first insurance provider in the UK who did not demand a medical report.
Sunlife's most popular life insurance plans are as follows.
1. Over 50 Life Insurance
- Aged 50 to 85 years
- Monthly premiums start from just £5.
- Paid out 100% of valid claims
- The funeral benefit option is available for free.
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- Full coverage after twelve months
- Suitable to pay back unpaid bills or debts post-death
- No medical report required
- Accidental death benefit
2. Guaranteed Inheritance Plan
- Aged 49 to 75 years
- Covers up to £50,000.
- No requirement for a medical exam
- Premiums start from £9.55 a month.
